Martin North went on The Project and told people not to buy property until next year...

I need to learn this too. I have all the equipment.

 

Did you notice just a few posters followed every word he said like it was gospel? To clarify: former members. I wish they were still around to gently point out they were also unecessarily spreading fear. Ok, not gently.

 

YouTube, I’ve learnt everything from spraying to how to raise a child. Not that I have kids but one day it might be needed

 

Credit to Lindsay for continually exposing bad lending practices from banks.

 

Sure, but did he need to spread mass hysteria about the market that actually deterred some people from buying? Those people are now hundreds of thousands of dollars behind if they listened to him in 2015. The evidence is that some did exactly that.

 

It's all about making money, he was motivated and we all know fear sells better than lollipops and rainbows.

 

So back to Martin, latest vid on anz dropping fixed rates

 

That’s business. Transferring money from the fools to the smart people.

 

He’s gotten a few predictions wrong like overseas funding forcing all the banks to increase rates this year and mortgage defaults going up as people go into neg equity. But that’s why I asked if anyone here disagrees with his advice to wait until next year? So far nobody has disagreed. I get the feeling that everyone suspects demand has been exhausted in the capital cities.

 

And that's why every average investor, (which are most) won't build too much wealth.

Brisbane land hits record demand

 

He wasn't wrong predicting overseas funding going up and forcing all banks to increase, it did happen with smaller lenders and he mentioned the royal commission could pause the big banks from moving in another video. But they will move eventually. Defaults will increase with interest rate rising, that always happens regardless. Have no idea how much though.

Waiting til next year to buy...if you're buying in Melbourne or Syd depending on what stock or location, simply put yes I would wait if you're investing, I personally think we are up for some big drops from peak, but I don't know which areas and how much otherwise I'd be named Lindsay David.
I'm no expert and I don't try to be, I follow my areas I've invested in and my plan and my plan currently says to sell another place this month and take the profits from Melb market.
I won't be investing in Melb again for some time. The returns don't make sense to me these days and I do not see capital growth in the near future for most areas I follow, maybe outskirts/regionals have a little to go as population is strong and houses are affordable for many. Doesn't mean people can't make money adding value, just much harder to do if many markets start falling and many will get it wrong.
I also try to have a basic understanding of financial markets and what's happening behind the curtains.

My Predictions: Lending has halved over the recent years and will get worse again with serviceability, interest rates will go up in the short term because overseas markets have raised theirs which will eventually flow onto us and has already started. I think the rba will counter the banks move in interest rates and drop, so rates might stay similar to what they are now even if rates move 1%, but this can be some time away if it plays out. Key word (if).
The less you can borrow the less competition there is to push house prices up, specifically referencing Melb and Syd right now as buyer demand is still there
(not referencing perth). This is already playing out in higher priced locations, so that has to flow onto suburbs near and below price points.

 

probably because the average investor is on an average wage, with average income and expenses. ie: not much disposable income left over

for those that have been in the game for a long time, with passive income and large capital on call, obviously a different story

 

[My Predictions: Lending has halved over the recent years and will get worse again with serviceability, interest rates will go up in the short term because overseas markets have raised theirs which will eventually flow onto us and has already started. I think the rba will counter the banks move in interest rates and drop, so rates might stay similar to what they are now even if rates move 1%, but this can be some time away if it plays out. Key word (if).
The less you can borrow the less competition there is to push house prices up, specifically referencing Melb and Syd right now as buyer demand is still there
(not referencing perth). This is already playing out in higher priced locations, so that has to flow onto suburbs near and below price points.[/QUOTE]

from what I can gather, the fed wanted to raise rates, however Donald didn't want that to happen, apparently he thought it would undo all the work that he has done to get the US economy "booming", so overseas funding may not rise to quickly in the short term

 

from what I can gather, the fed wanted to raise rates, however Donald didn't want that to happen, apparently he thought it would undo all the work that he has done to get the US economy "booming", so overseas funding may not rise to quickly in the short term[/QUOTE]
Let's hope they don't raise until I sell this place, might affect my sale price

 

Imho the wage isnt the major problem. If an average investor had an exceptional mindset and understands how to identify value and do thorough DD, their results would be far greater . An average wage is only tolerated by the mindset accepting it.

There are also many ppl on high incomes who don't build any or much wealth.

 

True...where there’s a will there’s a way

 

The RBA will probably have to increase the rates to halt the devaluation of our dollar which will likely continue with good conditions in the US.

 

Let's hope they don't raise until I sell this place, might affect my sale price[/QUOTE]
The US Fed operates separately to the government and already raised despite ire from the government. I would expect more rises in the near future with low unemployment in the US.

 

That's exactly what happened.

 

Or vendors will put off selling for another season or two - boost the market.